Source: The New York Times

Date Published: 06/26/2025

Link: Homeownership: Not Enough Supply for Middle-Income Buyers

Housing affordability crisis affecting middle-income households, such as those earning $75,000 annually. Despite representing the largest share of American households, they can only afford 21.2 percent of available home listings as of 2025, compared to 49 percent in 2019. This demographic, including teachers, nurses, and skilled workers, is facing a severe housing shortage. The 2025 Housing Affordability & Supply report from the National Association of Realtors reveals that, for middle-income households, an additional 416,000 listings priced at or below $255,000 are required to restore market balance. Due to rising land costs, restrictive zoning regulations, and increasing material prices, building homes under $260,000 is difficult. While this group has seen the greatest improvement in housing supply among all demographics, they still experience the largest gaps in affordability and home availability, creating what researchers call the middle-income paradox. Lower-income households, representing one-third of all U.S. households, have virtually no access to for-sale homes.